The laser diode market is projected to grow from US$ 8.03 billion in 2022 to US$ 22.25 billion by 2030, reflecting a compound annual growth rate (CAGR) of 13.8% during this period.
The Asia Pacific region's laser diode market encompasses countries such as Australia, China, India, Japan, South Korea, and other nations within the area. The automotive sector in this region has been witnessing remarkable expansion over recent years. According to the International Organization of Motor Vehicle Manufacturers, nations like India, China, Indonesia, South Korea, and Thailand reported a notable increase in vehicle production volumes in 2022. Furthermore, both regional and international automotive companies are heavily investing in the establishment of new manufacturing facilities throughout the region. For example, in March 2022, Triton Electric Vehicle LLC unveiled plans for a new production facility in Gujarat, India. Similarly, in June 2022, BMW announced the inauguration of a new electric vehicle manufacturing plant in China, backed by an investment of US$ 2.2 billion. The growth of the automotive sector necessitates the use of laser diodes for sophisticated lighting systems that enhance visibility over longer distances. Additionally, laser diodes are integral to advanced driver assistance systems (ADAS) and various sensing applications. Consequently, the flourishing automotive industry is a significant driver of growth for the laser diode market in this region.
The laser diode market is categorized by wavelength into several segments: infrared laser diodes, red laser diodes, blue laser diodes, blue-violet laser diodes, and others. In 2022, the infrared laser diode segment dominated the market share. Infrared lasers are characterized by their low cost and high power, making them suitable for a wide array of applications. Their compact and lightweight nature allows them to function efficiently without requiring excessive power. Infrared light operates within the non-visible spectrum, specifically between 1300 and 1700 nm. Different wavelengths of infrared light serve various purposes; for instance, lasers operating at 1310 nm, 1550 nm, and 1625 nm are ideal for fiber optic communication, while those at 1480 nm are effective as optical amplifier pumps. Beyond telecommunications, infrared lasers are also utilized in temperature measurement and medical applications. Notably, non-ablative facial treatments employing diode lasers are popular for addressing issues such as acne, acne scars, wrinkles, and rosacea. The diverse applications and benefits of infrared laser diodes are propelling the growth of the laser diode market.
Red laser diodes, typically constructed from quantum wells like GaInP or AlGaInP, represent the most prevalent and advanced type of laser diodes available today. These diodes find use in a broad spectrum of applications, ranging from affordable laser pointers to sophisticated laboratory flow cytometry systems. They can produce output power levels from a few milliwatts (in single emitters and VCSELs) to approximately 100 W in diode bars. The most common wavelengths for red laser diodes are 635, 650, and 670 nm. While shorter wavelengths are more visible to the human eye, they are also more challenging to produce efficiently. Red laser diodes are frequently employed in laser pointers, and several companies, including Edmund Optics Inc., CNI Laser, and RPMC Lasers, manufacture these devices. These factors contribute significantly to the increasing demand for red laser diodes within the laser diode market.
Key players in the laser diode market include Coherent Corp, IPG Photonics Corporation, Nuvoton Technology Corporation, Sharp Corp, Sheaumann Laser, Inc., Sumitomo Electric Industries Ltd, TRUMPF SE + Co KG, Jenoptik AG, Mitsubishi Electric Corp, and ams-OSRAM AG, all of whom are profiled in this market analysis.
The overall size of the Laser Diode Market has been determined through a combination of primary and secondary research methods. Comprehensive secondary research has been conducted utilizing both internal and external sources to gather qualitative and quantitative data regarding the Laser Diode Market size. This approach also aids in forming an overview and forecast of the market across all segments. Additionally, numerous primary interviews have been carried out with industry stakeholders to validate the findings and acquire analytical insights. This process includes discussions with industry experts such as vice presidents, business development managers, market intelligence managers, and national sales managers, as well as external consultants like valuation experts, research analysts, and key opinion leaders specializing in the Laser Diode Market.